Bebeto put $ $1,000\$ in a savings account that earns \$2\%$ compound interest each year. Find the number of years after which he would earn approximately $ $126$.

Using the compound interest formula Amount equals Principal multiplied by (1 plus Rate divided by 100) raised to the time, the total amount must be 1126. Substituting the values gives 1000 multiplied by (1.02) to the power of n equals 1126. Solving for n shows that (1.02) to the power of n equals 1.126, which results in n being approximately 6.

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